'Once again surrendering to US pressure': Rahul slams govt over UPI fee exemption limit
Congress leader Rahul Gandhi has criticized the Indian government for allegedly allowing merchant fees on UPI transactions over Rs 2,000. He claims this policy shift is a surrender to pressure from American payment corporations and will ultimately increase costs for consumers.
Why it matters
The debate over UPI transaction fees impacts millions of Indian consumers and the country's digital payment infrastructure.
NEW DELHI: Congress leader Rahul on Tuesday accused the Prime Minister Narendra Modi-led government of “surrendering to pressure from American corporations” by reportedly paving the way for charges on certain Unified Payments Interface (UPI) transactions.Rahul argued that although the government has said consumers will not be charged directly, allowing a Merchant Discount Rate (MDR) on merchant transactions above Rs 2,000 could eventually lead to higher retail prices.Sharing a post on X, the leader of opposition said, "The Modi government has quietly opened the door to imposing fees on UPI. Now, MDR can be levied on merchant UPI transactions above Rs 2,000. Even if these transactions account for just 5% of the volume, they make up nearly 65% of UPI's total transaction value.""The government says no fees will be charged to customers. But where will the fees imposed on shopkeepers ultimately come from?
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